Page 42 - IRMSA Risk Report 2020
P. 42

4.3.1
        SP ARSENESS  OF  UNIFIED  E THIC AL  AND   VISIONAR Y
        LEADERSHIP

          DUE TO DISPARATE VALUES, A SPARSENESS OF UNIFIED ETHICAL AND VISIONARY LEADERSHIP MAY CONTINUE
         TO IMPACT NEGATIVELY ON SA’S BRAND, REPUTATION, ECONOMIC GROWTH, AND ABILITY TO BUILD RESILIENCE.


               SCENARIOS                    FLAGS                 RISK RANKING OVER LAST 5 YEARS
                                       Leadership                                  RANKING SCALE
                                       Institutional capacity          10  9   8   7  6   5   4   3   2  1

                                       Politics
                SPRING OF HOPE
                                       Social cohesion
                                       National policy
           FAKE IT TILL WE MAKE IT...OR NOT?  Service delivery                    ANNUAL RANKING
                                       Inequality                   2015    2016   2017    2018   2019    2020
                                       Economy                    NOT RANKED                     NOT RANKED
               PERPETUAL HANGOVER
                                       Global trends
                                       Climate

           Leadership in the public and private sectors must reach a position where it is acknowledged that the decisions
           leadership makes and the process of “business as usual” have far reaching impacts beyond the confines of the
           organisation and its immediate stakeholders. The risk rankings over the last five years reflects SA’s “head in the sand”-
           approach to date. Our country requires undiluted honesty and focused effort to turn our country around.

               TOP 5 CHALLENGES TO ACHIEVING                      TOP 5 RISK TREATMENT OPTIONS AND
                             TARGETS                                          OPPORTUNITIES

         1.   Lack of political courage. Politics prevents SA from addressing   1.   Consistently mobilise and publish evidence-based data that
             these well-known risks.                             illustrate the many cases of want and wastage that recur
         2.   Lack of real action to unequivocally link consequences to   because of unethical leadership in all sectors of our society.
             wrongdoing. Unless, or until, accountability is enforced,   2.  Garner the political will to put the interests of the country first.
             corruption will continue.                        3.  Re-empower and resource the various state organs to breathe
         3.   The insidious effects of corruption and collusion impact   life into the laws we already have to ensure that the guilty are
             on every aspect of South African life, from non-payment of   brought to book whether for common law or statutory crimes.
             electricity to stealing of paper clips and sugar from the office to   4.  Raise the political courage to take on the holy cows of a narrow
             the bribing of traffic officers to look the other way.  nationalism and begin to privatise some of our assets.
         4.   Very few real arrests are made, despite the mounting prima facie   5.  Build the businesses that will build Africa through by creating
             evidence of grand level corruption and theft.       sustainable jobs; develop local and women-owned supply
         5.   The slow speed of action and lack of decisive leadership   chains; empower the communities in which they operate; and
             both infuriate public opinion and make the reorganisation of   the conservation of the environment.
             corporate and parliamentary SA to deliver on their mandates
             much more difficult.



                                                FAC TS AND FIGURES



          •  2018 Ethical Practices Survey - Only 10% of respondents felt that officials in the public sector were ethical.

          •  An astounding 42% of professionals in the public sector disagreed that doing the right thing is more important than
             financial success.

          •  In 2018, a mere 32% of private sector respondents felt their leaders were ethical .
          •  In 2017, 70% of private sector respondents felt that their leaders were ethical.





          Source: IQbusiness GRC – Centre of Excellence
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